Fact Pattern 29-1 (Questions B10-B11 Apply)

question 21

Multiple Choice

Fact Pattern 29-1 (Questions B10-B11 apply)
Jumbo Juice Inc.offers entrepreneurs the opportunity to operate a franchise under the Jumbo Juice trade name as a member of a select group of dealers that engage in retail juice sales.
-Refer to Fact Pattern 29-1.Jumbo Juice makes earnings claims to potential investors.For those claims,the franchisor

• A)can have a hypothetical basis.
• B)must have a reasonable basis.
• C)must have an actual basis.
• D)can have any or no basis.

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Definitions:

Incentive To Work

Factors or motivations that encourage individuals to participate in the labor force or increase their level of effort in their jobs.

Poverty

A condition where individuals or groups lack the financial resources to meet basic living needs, such as food, shelter, and healthcare.

Over 65

Refers to the population demographic that is aged 65 and older, often used in discussions about aging, retirement, and social security policies.

Female-Heading Family

A family unit where the primary caregiver or head of the household is a female.